Councils to receive £45m from Stormont

It is likely to be one of Conor Murphy's last actions as minister ahead of his expected election to the Seanad

A £45m funding boost has been allocated to Northern Ireland's councils by the economy minister to help them fund local economic development plans.

It is part of a broader Stormont strategy aimed at improving regional economic balance across Northern Ireland.

It is likely to be one of Conor Murphy's last actions as minister ahead of his expected election to the Seanad, the upper chamber of Ireland's parliament.

Voting in that election ends on Thursday with results due a few days later.

Mr Murphy has been economy minister since Stormont was restored in February 2024.

He set out a new economic strategy which prioritised regional balance, productivity, "good jobs" and reducing greenhouse gas emissions.

Mr Murphy acknowledged the funding for the 11 councils was a relatively modest amount of money to be spent over three years.

However he said it was also intended to provide a focus for councils and other local organisations to work together to set their own priorities.

"Spending the money is one part of it, another part of it is people coming together to define their economic needs, to work with the department, to work with Invest NI in terms of pursuing those needs," Mr Murphy said.

The regional balance policy is aimed at improving economic performance in areas outside greater Belfast and includes an overhaul of Invest NI, the economic development agency.

Mr Murphy said that if inward investors were "fixated" on Belfast "we are not going to turn them away" but there were greater efforts to persuade people to set up in other areas.

He also suggested the hybrid working used by many technology firms would work in favour of that policy.

"The nature of some of those tech businesses is they can operate remotely so they don't necessarily need to have their staff in a single location," he added.

The "good jobs" element of the economic strategy will involve legislation to improve workers rights.

'Dialogue won't stop'

When consultation on proposals began in July last year the Irish Congress of Trade Unions (ICTU) said it would be "the most substantial act from the NI Assembly for workers since devolution".

Some employers are increasingly nervous about the legislation, fearing it will mean another increase in costs on top of the employers National Insurance increase imposed by Westminster.

Mr Murphy said he had a meeting with business groups last week to talk through the intent of the legislation, "what it means and what it doesn't mean".

He added the tone of the meeting had not been "alarmist" rather there was a desire for clarity.

"We will continue to engage with businesses and trade unions as this progresses into draft legislation and into the assembly," Mr Murphy said.

"There will be many opportunities for people to engage with this legislation.

"The dialogue around this won't stop."

Mr Murphy also responded to criticism that the executive had been slow to deliver since it returned last year.

A report from the Pivotal think tank, published on Monday, said that while good progress had been made in some areas there had been "a tendency so far for the executive to be aspirational rather than specific in its plans".

Mr Murphy said: "We can always do better. There's no sense in the executive of people clapping themselves on the back and saying: 'Great job'."

He added that things had been achieved against a very challenging financial background and that more legislation would be forthcoming this year.